Kambi: Solid Operational Progress but Estimate Cuts and Regulatory Headwinds Justify Neutral Hold Rating

In a report released today, James Wheatcroft from Jefferies maintained a Hold rating on Kambi Group, with a price target of SEK140.00.

James Wheatcroft has given his Hold rating due to a combination of factors, including fourth-quarter figures that were broadly consistent with market expectations and slightly better underlying profitability once currency effects are stripped out. The company’s new 2026 EBITDA target range essentially mirrors current consensus, indicating limited near-term upside despite solid operational progress.

At the same time, Kambi’s valuation looks optically modest for a leading online sports betting platform, but this is tempered by an ongoing cycle of estimate cuts tied to its shift toward a modular offering, expiring contracts, and regulatory pressures from FX and higher gaming taxes. While recent deal activity, product advances in AI-driven trading, and planned client migrations support the long-term story, these offsetting positives and headwinds together justify maintaining a neutral Hold stance rather than moving to a more decisive rating.

Wheatcroft covers the Consumer Cyclical sector, focusing on stocks such as Entain plc, Playtech, and Flutter Entertainment PLC. According to TipRanks, Wheatcroft has an average return of 4.5% and a 46.15% success rate on recommended stocks.

In another report released on February 4, TipRanks – Google also reiterated a Hold rating on the stock with a SEK124.00 price target.